KARACHI: More than 500 insurance executives, actuaries, regulators, policymakers and international experts gathered here on Tuesday for Pakistan’s largest-ever international insurance conference.
The conference was jointly organised by the Insurance Association of Pakistan (IAP) and the Pakistan Society of Actuaries (PSOA).
It was held under the theme, “Reimagining Pakistan’s Resilience: Building a Sustainable Future through Insurance.”
Addressing the conference as its chief guest, Sindh Chief Minister Syed Murad Ali Shah said the provincial government was working closely with the insurance industry to introduce multiple insurance schemes in collaboration with the private sector to expand financial protection and social safety nets for the people.
He said the Sindh government had been facilitating the growth of the insurance sector through supportive policies, including a significant reduction in taxes and the allocation of adequate funds for insurance premiums.
The chief minister said the Sindh government was the first in the country to introduce mandatory third-party motor vehicle insurance to provide financial compensation to victims of road accidents.
Under the scheme, a compensation of Rs700,000would be paid in the event of death while Rs500,000 in cases of permanent disability.
He added that the provincial government was also working on a scheme to provide Rs100,000 in accidental death insurance coverage for every resident aged 18 years and above.
Thechief minister said the government had also been planning to introduce additional insurance initiatives in the health and agriculture sectors to extend financial protection and welfare to the people of Sindh.
Prime Minister’s Coordinator on Commerce Rana Ahsan Afzal Khan said the government was working to upgrade the existing agricultural financing scheme by introducing additional features aimed at strengthening and protecting the country’s agriculture sector.
He said the insurance industry’s outreach could be significantly expanded by leveraging Pakistan’s large mobile phone user base through micro-digital insurance solutions, making insurance products more accessible and affordable.
He also underscored the need to establish a joint committee to identify and address the legal and regulatory bottlenecks hindering the growth of the insurance industry.
Adviser to the Ministry of Finance and Revenue Adnan Pasha said that if the insurance sector’s penetration doubled to two percent of the GDP, it could generate billions of rupees in additional economic activity and significantly strengthen the country’s financial ecosystem.
He said that the government had introduced several initiatives in key sectors, including agriculture, housing and small, medium-sized enterprises (SMEs), and electric vehicles.
These programmeswere expected to stimulate economic activity, create wealth, and indirectly support the growth of allied industries, particularly the insurance sector.
He noted that Pakistan’s low insurance penetration was largely attributable to limited public awareness and inadequate distribution channels, which should be addressed through collaboration within the industry and favorable policy of the government.
Insurance Association of Pakistan (IAP) Chairman ShoaibJaved Hussain said Pakistan’s insurance penetration remained significantly below regional and global averages, highlighting the immense growth potential of the industry.
He mentioned that Pakistan’s insurance-to-GDP ratio stood at 0.9 percent, compared with an average of four percent in the regional economies and around six per cent in developed countries.
Similarly, the country’s insurance density was only $14 per capita, compared with the global average of approximately $60 per capita.
Hussain said the low-level of insurance penetration should not be viewed as a challenge but as a vast untapped opportunity for insurers to expand coverage, particularly among Pakistan’s young and growing population.
He urged industry stakeholders to accelerate the sector’s growth through innovation, greater collaboration and stronger partnerships with the regulator.
He also called for continued government support to strengthen the country’s regulatory framework and expedite reforms in key areas, particularly crop and health insurance, to improve financial protection for businesses and households.
Copyright Business Recorder, 2026
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